Pernod Ricard posted organic growth of 2% for its first quarter, representing a return to growth, despite a mixed performance in Europe, which saw a 1% decline in sales during the period.
Sales for the first quarter of 2014/15 totalled €2,037m.
The group said it had seen a gradual improvement in Asia-Rest of World, where sales in the quarter increased by 4%, and continued growth in the Americas (+3%)
Reported growth was +1% due to a slightly unfavourable foreign exchange effect over the period.
The company said that its Top 14 returned to growth, posting a 2% increase, however Priority Premium Wines declined (-3%) despite the continued growth of the Campo Viejo and Brancott Estate brands.
Pierre Pringuet, chief executive, said: “Pernod Ricard’s return to growth in the first quarter illustrates the Group’s resilience in a difficult context. We are confident in the strength of our portfolio and distribution network. The roll-out of project Allegro will contribute to strengthening our operational efficiency.”
Alexandre Ricard, deputy chief executive and chief operating officer, added: “For the full financial year we anticipate a gradual improvement in sales, in an environment that will remain difficult. We plan to increase investment behind our priority brands and innovations. As a result, our 2014/15 guidance is organic growth in profit from recurring operations between +1% and +3%.”
